SOUTH BEND – AM General has announced that the U.S. Army has picked up an option for a second year of production for the Humvee. The deal is with worth $195 million.
The contract modifies an existing contract to provide 808 Humvees and 744 armored enclosures for use in Afghanistan.
The work is to be completed by Feb. 29, 2012.
The contract also provides for continuing support for Humvees for parts, training and field service.
“AM General not only builds and sells to all branches of the U.S. military but we also build and sell to more than 50 friendly foreign militaries, Afghanistan being one of them,” said AM General spokeswoman Celeste Ross.
The company has 2,400 employees in South Bend, Mishawaka and Livonia, Mich.
